7th Gate Center
CVP acquired this 43,577 square feet, mixed-use project in June 2014 for $5.025M. Immediately upon closure we pursued a three-pronged business plan. First, we needed to made several aesthetic and energy efficiency upgrades to the building in the first quarter of ownership. Second, we pursued spinning off the JP Morgan Chase bank branch as a retail condominium. Third, we saw a value-add opportunity in the office portion of the building, which was leased at just under 80%.
After our work, CVP sold the Chase bank branch condominium for just under $3M in June 2015, and successfully exited the office condominium for just over $4M in December 2015. The project is located on the northeast corner of 7th Street & McDowell Road in Phoenix, Arizona. Our key office tenants included Risas Dental Management, Fadell, Cheney & Burt PLLC, Amigo Multimedia, CAR Financial and Rodney D. Young Insurance.
Arcadia Management Group headed up the property management efforts for the asset and Michael Crystal and Emily Currie at Newmark Grubb Knight Frank led our leasing work. Tim Storey and Chad Metzger from Newmark Realty Capital brokered the financing with JCR Capital.